Answer Happy

A big homogeneous set of commuters may be driving alone (DA), carpooling (CP), travelling by minibus (MB), or taking a tram (T). Assume the travelling time T mins and monetary cost C (HKD) as below. Mode T C Driving alone 30 25 Carpooling 45 15 Minibus 70 8 Tram 60 5 With a large sample of travellers from that group in the urban region, the estimated linear utility functions were estimated below. U = 0.8 – 0.4T 0. 25C + E DA DA DA DA U = 0.2 - 0.4T 0.250 + E CP CP CP CP U - 0.2 - 0.4T 0.25C + E MB MB MB MB Ur 0.25C, + &r = 0.4T, Set u = 1 for the multinominal logit model of the four modes in the table above. Set I.I.D Gumbel variates to be a EDA’ Ecp» EMB" &, respectively. Set P P Р. DA' and P, to be the probabilities predicted by the logit model. CP' MB T Question 1: According to the discrete mode choice model, determine the implied values of times (VOT). Question 2: For better service, the travelling time of minibus is enhanced from 70 mins to 65 mins. Under a constant T and C, if the company doesn't want to lose any customers, how much can the fare of the minibus mode be increased? Question 3: Find the elasticity of P P DA'' cp P and P, with respect to T, MB T MB Question 4: If Cme has increased, P, and P, also increase by AP, P DA' CP ΔΡ. and APT AP DA' CP T MB AP DA Show DA ΔΡ. CP